NM Mortgage Loan Company License New Application Checklist (Company)

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NM Mrtgage Lan Cmpany License New Applicatin Checklist (Cmpany) CHECKLIST SECTIONS General Infrmatin License Fees Requirements Cmpleted in Requirements/Dcuments Upladed in Requirements Submitted

1 NM Mrtgage Lan Cmpany License New Applicatin Checklist (Cmpany) CHECKLIST SECTIONS General Infrmatin License Fees Requirements Cmpleted in Requirements/Dcuments Upladed in Requirements Submitted Outside f GENERAL INFORMATION Wh Is Required T Have This License? Any cmpany r sle prprietrship, wh fr cmpensatin r gain, r in the expectatin f cmpensatin r gain, directly r indirectly accepts r ffers t accept an applicatin, negtiates r ffers t negtiate the terms f a mrtgage lan r slicits, prcesses, riginates, brkers r makes mrtgage lans fr thers. Each branch lcatin, wherever lcated, desiring t cnduct business under this mrtgage lan cmpany license must be separately licensed and will require a filing f Branch Frm (MU3) thrugh DEFINITIONS P. "Mrtgage lan cmpany" means any persn wh, fr cmpensatin r gain, r in the expectatin f cmpensatin r gain, either directly r indirectly: 1) accepts an applicatin fr a mrtgage lan; negtiates terms fr a mrtgage lan; r slicits, 2) prcesses, riginates, brkers r makes mrtgage lans fr thers; 3) ffers t: a) accept an applicatin fr a mrtgage lan; b) negtiate terms fr a mrtgage lan; r c) slicit, prcess, riginate, brker r make mrtgage lans fr thers; r 4) clses mrtgage lans that may be in the mrtgage lan cmpany's wn name with funds prvided by thers and that are assigned t the mrtgage lenders prviding the funding f such lans; Wh Is Nt Required T Have This License? A. banks, trust cmpanies, savings and lan assciatins, credit unins, insurance cmpanies r real estate investment trusts as defined in 26 U.S.C.A. 856; B. an attrney licensed t practice law in New Mexic wh is nt principally engaged in the business f negtiating lans secured by real r persnal prperty, when that persn renders services in the curse f the persn's practice as an attrney; C. a New Mexic-licensed real estate brker rendering service in the perfrmance f that persn's duties as a real estate brker wh btains financing fr a real estate transactin invlving an actual bna fide sale f real estate r real estate cntract handled by the brker and wh receives nly the custmary real estate brker's cmmissin in cnnectin with the transactin; Updated: 9/10/2016 Page 1 f 10

2 D. a persn ding an act under rder f a curt; E. an individual making a single mrtgage lan in a calendar year with the individual's wn funds fr the individual's wn investment withut the intent t resell the mrtgage lan; F. the United States f America, state f New Mexic r any f their branches, agencies, departments, bards, instrumentalities r institutins and all plitical subdivisins f the state and their agencies, instrumentalities and institutins; and G. a cmpany licensed as a small business investment cmpany under the federal Small Business Investment Act f Activities Authrized Under This License This license authrizes the fllwing activities First mrtgage brkering First mrtgage lending High cst hme lans Hme equity lans, including lines f credit Lead Generatin Manufactured Husing Financing Mrtgage lan mdificatin Other-Mrtgage Reverse mrtgage activities Secnd mrtgage brkering Secnd mrtgage lending Shrt sale Third Party Mrtgage Lan Prcessing Third Party Mrtgage Lan underwriting Pre-Requisites fr License Applicatins Nne New Mexic Financial Institutins Divisin des nt issue paper licenses fr this license type. Dcument Uplads Guidance Dcuments that must be upladed t the Dcument Uplads sectin f the Cmpany Frm (MU1) in are indicated in the checklist belw. When uplading dcuments: Fllw the guidance in Dcument Uplad Descriptins and Examples. Only uplad dcuments relevant t the cmpany applicatin. Only uplad dcuments where there is a selectable dcument categry. If inapprpriate dcuments are upladed that shuld nt be, yu will be cntacted by yur regulatr and asked t remve them frm. D nt uplad the same cmpany dcuments multiple times. Generally, unless the dcument is state-specific, if the dcument has already been upladed fr anther state, a new uplad is nt required unless changes have been made. If a dcument previusly upladed has been revised, delete the ld dcument and replace it with the new dcument (histry f the ld dcument will remain in ). Fr state-specific dcuments (e.g., Surety Bnds), be sure t indicate the applicable state. Helpful Resurces Cmpany Frm (MU1) Filing Instructins Dcument Uplad Descriptins and Examples Individual Frm (MU2) Filing Quick Guide Financial Statements Quick Guide Payment Optins Quick Guide Updated: 9/10/2016 Page 2 f 10

3 License Status Definitins Quick Guide Agency Cntact Infrmatin Cntact Licensing Specialist Michelle Medina at r via , michelle.medina@state.nm.us. Cntact Industry Manager Je Cruz at r via , je.cruz@state.nm.us. Fr U.S. Pstal Service: Financial Institutins Divisin, Mrtgage Unit 2550 Cerrills Rad 3rd Flr P. O. Bx (87504) Santa Fe, NM Fr Overnight Delivery: Financial Institutins Divisin, Mrtgage Unit 2550 Cerrills Rad 3rd Flr Santa Fe, NM THE APPLICANT/LICENSEE IS FULLY RESPONSIBLE FOR ALL OF THE REQUIREMENTS OF THE LICENSE FOR WHICH THEY ARE APPLYING. THE AGENCY SPECIFIC REQUIREMENTS CONTAINED HEREIN ARE FOR GUIDANCE ONLY TO FACILITATE APPLICATION THROUGH. SHOULD YOU HAVE QUESTIONS, PLEASE CONSULT LEGAL COUNSEL. Updated: 9/10/2016 Page 3 f 10

4 LICENSE FEES - Fees cllected thrugh are NOT REFUNDABLE OR TRANSFERABLE. Cmplete NM Mrtgage Lan Cmpany License Submitted via NM License/Registratin Fee: $1,000 NM Applicatin Fee: $500 Initial Prcessing Fee: $100 (Filing submissin) Credit Reprt fr Cntrl Persns: $15 per cntrl persn (Filing submissin) REQUIREMENTS COMPLETED IN Cmplete NM Mrtgage Lan Cmpany License Submitted via Submissin f Cmpany Frm (MU1): Cmplete and submit the Cmpany Frm (MU1) in. This frm serves as the applicatin fr the license/registratin thrugh. Financial Statements: Uplad an unaudited financial statement verified by a principal f the applicant and prepared in accrdance with Generally Accepted Accunting Principles dated within 90 days f yur fiscal year end. Financial statements shuld include a balance sheet, incme statement, and statement f cash flws and all relevant ntes theret. If applicant is a start-up cmpany, nly an initial statement f cnditin is required. Nte: Financial statements are upladed separately under the Filing tab and Financial Statement submenu link. See the Financial Statements Quick Guide fr instructins. Other Trade Name: If perating under a name that is different frm the applicant s legal name, that name ( Trade Name, Assumed Name r DBA ) must be listed under the Other Trade Names sectin f the Cmpany Frm (MU1). The Financial Institutins Divisin des nt limit the number f ther trade names. If perating under an Other Trade Name, uplad a Trade Name/Assumed Name Registratin Certificate regarding ability t d business under that trade name. This dcument shuld be named [State-License Type] Trade Name Assumed Name. Resident/Registered Agent: The Resident/Registered Agent must be listed under the Resident/Registered Agent sectin f the Cmpany Frm (MU1) and must match the infrmatin currently n recrd with New Mexic Secretary f State r the Crpratins Bureau f the Public Regulatry Cmmissin. Uplad in : under the Dcument Type Trade Name/Assumed Name Registratin Certificates in the Dcument Uplads sectin f the Cmpany Frm (MU1). Updated: 9/10/2016 Page 4 f 10

5 Cmplete NM Mrtgage Lan Cmpany License Submitted via Nte Nte Primary Cntact Emplyees: The fllwing individuals must be entered int the Cntact Emplyees sectin f the Cmpany Frm (MU1). 1. Primary Cmpany Cntact. 2. Primary Cnsumer Cmplaint Cntact. Nn-Primary Cntact Emplyees: The Financial Institutins Divisin des nt require any nn-primary cntacts t be listed in the Cntact Emplyees sectin f the Cmpany Frm (MU1). Bank Accunt: Bank accunt infrmatin is nt required. The Bank Accunt sectin f the Cmpany Frm (MU1) can be left blank. Disclsure Questins: Prvide a cmplete and detailed explanatin and dcument uplad fr each Yes respnse t Disclsure Questins made by the cmpany r related cntrl persns (MU2). See the Cmpany Disclsure Explanatins Quick Guide fr instructins. Qualifying Individual: At least ne Qualified Manager is required t be designated by a mrtgage lan cmpany, respnsible fr the activities f the licensed mrtgage lan cmpany s ffice(s), cnducting residential mrtgage lan transactins in New Mexic. This individual must be listed in the Qualifying Individual sectin f Cmpany Frm (MU1). Prvide verifiable prf that they have at least 2 years experience as a principal, partner, fficer, directr, manager, prcessr r underwriter f a mrtgage lan cmpany r a mrtgage lan riginatr r equivalent lending experience in a related business during the fur years immediately prceeding the time f applicatin. Must be licensed as a mrtgage lan riginatr in New Mexic. Cntrl Persn (MU2) Attestatin: Cmplete the Individual Frm (MU2) in. This frm must be attested t by the applicable cntrl persn befre it is able t be submitted alng with the Cmpany Frm (MU1). Credit Reprt: Qualified Managers are required t authrize a credit reprt thrugh. Individuals will be required t cmplete an Identity Verificatin Prcess (IDV) alng with an individual attestatin befre a license request fr yur cmpany can be filed thrugh. This authrizatin is made when the Individual Frm (MU2) is submitted as part f the Cmpany Frm (MU1). N/A N/A Uplad in in the Disclsure Explanatins sectin f the Cmpany Frm (MU1) r Individual Frm (MU2). Updated: 9/10/2016 Page 5 f 10

6 REQUIREMENTS/DOCUMENTS UPLOADED IN Cmplete NM Mrtgage Lan Cmpany License Submitted via Certificate f Authrity/Gd Standing Certificate: Uplad a State-issued and apprved dcument (typically by the Secretary f State s ffice), dated nt mre than 60 days prir t the filing f the applicatin thrugh that demnstrates authrizatin t d business in New Mexic frm the New Mexic Secretary f State. This dcument shuld be named [[State prefix] Certificate f Authrity OR [State prefix] Certificate f Gd Standing]. Flw f Funds Structure: Submit a descriptin f each type f transactin r service t be cnducted. Fr each type, describe each step starting with the first encunter with the cnsumer and ending at the cmpletin f the transactin when mney is received by the beneficiary. This dcument shuld be named Flw f Funds Structure. Nte: If submitting multiple types f transactins r services t be cnducted, cmbine in single dcument fr uplad. Uplad in : under the Dcument Type Certificate f Authrity/Gd Standing Certificate in the Dcument Uplads sectin f the Cmpany Frm (MU1). Uplad in : under Flw f Funds Structure in the Dcument Uplads sectin f the Cmpany Frm (MU1). Frmatin Dcuments: Determine classificatin f applicant s legal status and submit a State certified cpy f the requested applicable dcumentatin detailed belw. Original frmatin dcuments and all subsequent amendments, theret including a list f any name changes. This dcument shuld be named Frmatin Dcumentatin [Date f Creatin (MM-DD-YYYY)]. Unincrprated Assciatin: By-Laws r cnstitutin (including all amendments). General Partnership: Partnership Agreement (including all amendments). Limited Liability Partnership: Certificate f Limited Liability Partnership; and Partnership Agreement (including all amendments). Limited Partnership: Certificate f Limited Partnership; and Partnership Agreement (including all amendments). Limited Liability Limited Partnership: Certificate f Limited Liability Limited Partnership; and Partnership Agreement (including all amendments). Limited Liability Cmpany ( LLC ): Articles f Organizatin (including all amendments); Operating Agreement (including all amendments); IRS Frm 2553 r IRS Frm 8832 if S-crp treatment elected; and LLC reslutin if authrity nt in perating agreement. Crpratin: Articles f Incrpratin (including all amendments); By-laws (including all amendments), if applicable; Uplad in : under Frmatin Dcument in the Dcument Uplads sectin f the Cmpany Frm (MU1). Updated: 9/10/2016 Page 6 f 10

7 Sharehlder Agreement (including all amendments), if applicable; IRS Frm 2553 if S-crp treatment elected; and Crprate reslutin if authrity t cmplete applicatin nt in By- Laws r Sharehlder Agreement, as amended, as applicable. Nt fr Prfit Crpratin Dcuments requested f a Crpratin; and Prf f nnprfit status Internal Revenue Service ( IRS ) 501(c)(3) designatin letter; r statement frm a State taxing bdy r the State attrney general certifying that: (i) the entity is a nnprfit rganizatin perating within the State; and (ii) n part f the entity s net earnings may lawfully benefit any private sharehlder r individual; r entity's certificate f incrpratin r similar dcument if it clearly establishes the nnprfit status f the applicant; r Any f the three preceding items described, if that item applies t a State r natinal parent rganizatin, tgether with a statement by the State r parent rganizatin that the applicant is a lcal nnprfit affiliate. Trust (Statutry) Certificate f Trust; and Gverning instrument (all amendments). Surety Bnd. Submit cmpany bnd in the amunt f $50,000 furnished by a surety cmpany authrized t cnduct business in New Mexic. The name f the principal insured n the bnd must match exactly the full legal name f applicant, including any Other Trade Names. Click t dwnlad surety bnd frm. This dcument shuld be named [License Type] Surety Bnd. After the first year, the surety bnd will be based n the ttal dllar amunt f mrtgage lans riginated annually in New Mexic by the licensee and will be based n the fllwing scale: Surety Bnd Requirements Table Uplad in : under Surety Bnd in the Dcument Uplads sectin f the Cmpany Frm (MU1). AND Mail t The Financial Institutins Divisin Ttal Dllar Amunt Of Mrtgage Lans Originated Annually Bnd Amunt $0 - $3,000,000 $50,000 Greater than $3,000,000 but less than $10,000,000 $100,000 Greater than $10,000,000 $150,000 Updated: 9/10/2016 Page 7 f 10

8 INDIVIDUAL FORM (MU2) DOCUMENTS UPLOADED IN Cmplete NM Mrtgage Lan Cmpany License Submitted via Credit Reprt Explanatins: if applicable, submit a line by line, detailed letter f explanatin f all dergatry credit accunts alng with prf f payffs, payment arrangements and evidence f payments made, r evidence f any frmal dispute filed (dcuments must be dated). Accunts t address include, but are nt limited t: cllectins items, charge ffs, accunts currently past due, accunts with serius delinquencies in the last 3 years, repssessins, lan mdificatins, etc. Nte: Items regarding bankruptcy, freclsure actins, utstanding judgments r liens, r delinquent child supprt payments shuld be addressed in the Disclsure Explanatins sectin f yur Individual Frm (MU2). This dcument shuld be named Credit Reprt Explanatins Sub Name Dcument Creatin Date. Memrandum f Tax Certificatin: Prvide a certified memrandum indicating all tax bligatins t the State have been paid r that a payment plan (if applicable) is in place. This dcument shuld be named [State Abbreviatin] Memrandum f Tax Certificatin. Persnal Financial Statement: The fllwing individuals, as specified belw, n the Cmpany Frm (MU1) are required t uplad a persnal financial statement QUALIFIED MANAGER: A. A qualified manager shall prvide the directr with the fllwing dcumentatin f his r her lending experience fr verificatin purpses: 1. incme tax returns; 2. W-2 and/r 1099 frms. B. Dcumentatin may als include previus business licenses and ther state mrtgage licenses. [ NMAC - N, 08/31/09] This dcument shuld be named [State Abbreviatin] Persnal Financial Statement. Verificatin f Experience: Prvide a license specific resume with detailed jb descriptins and/r duties perfrmed evidencing experience in the industry the cmpany is applying fr a license. Detailed jb descriptins and duties with all emplyers need t be incrprated int a resume t demnstrate experience related t the specific state license being applied fr. State specific requirements include: License required; qualified manager. Uplad in : under the Dcument Type Credit Reprt Explanatins in the Dcument Uplads sectin f the Individual Frm (MU2). Uplad in : under the Dcument Type Memrandum f Tax Certificatin in the Dcument Uplads sectin f the Individual Frm (MU2). Uplad in : under the Dcument Type Persnal Financial Statement in the Dcument Uplads sectin f the Individual Frm (MU2). Uplad in : under the Dcument Type Verificatin f Experience in the Dcument Uplads sectin f the Individual Frm (MU2). Updated: 9/10/2016 Page 8 f 10

9 A. It is unlawful fr any persn t transact business in the state f New Mexic, either directly r indirectly, as a mrtgage lan cmpany withut first filing an applicatin with the directr, meeting requirements established by the directr and btaining a license under the Mrtgage Lan Cmpany Act [ NMSA 1978]. B. A mrtgage lan cmpany shall designate at least ne qualified manager wh shall: 1. btain and maintain a mrtgage lan riginatr license and unique identifier number pursuant t the New Mexic Mrtgage Lan Originatr Licensing Act [58-21B-1 NMSA 1978]; and 2. have nt less than tw years verifiable experience as a principal, partner, fficer, directr, manager, prcessr r underwriter f a mrtgage lan cmpany r a mrtgage lan riginatr r have equivalent lending experience in a related business during the fur years immediately preceding the time f applicatin. C. A qualified manager shall serve as a qualified manager fr nly ne mrtgage lan cmpany. This dcument shuld be named [Dcument Type] License Name. Updated: 9/10/2016 Page 9 f 10

10 ID Number Applicant Legal Name REQUIREMENTS SUBMITTED OUTSIDE OF Cmplete NM Mrtgage Lan Cmpany License Submitted via Qualified Manager Prf f Experience: Prvide verifiable prf f 2 years experience as a principal, partner, fficer, directr, manager, prcessr r underwriter f a mrtgage lan cmpany r a mrtgage lan riginatr r equivalent lending experience in a related business during the fur years immediately preceding the time f applicatin. A qualified manager shall prvide the directr with 2 incme tax returns; and 2 W-2 and/r 1099 frms. Lngevity in Business: Prvide the length f time the applicant has been engaged in the mrtgage business in New Mexic and ther jurisdictins. Mail t The Financial Institutins Divisin Mail t The Financial Institutins Divisin Updated: 9/10/2016 Page 10 f 10

NH Mortgage Banker Branch License New Application Checklist (Branch)

NH Mortgage Banker Branch License New Application Checklist (Branch) NH Mrtgage Banker Branch License New Applicatin Checklist (Branch) CHECKLIST SECTIONS General Infrmatin License Fees Requirements Cmpleted in Requirements/Dcuments Upladed in Requirements Submitted Outside